After a two-year roller coaster, the territorial economies are trending upward, driven by a bright outlook for many minerals extracted in Canada’s North. The tourism sector will also enjoy a much-needed boost in the short term following the loosening of travel restrictions in Canada and around the globe. And over the next two decades, travel activity in all three territories is poised to grow, as investments in infrastructure and a growing Canadian population drive a greater number of visits to the North.
Despite our generally positive outlook, skills shortages will present major hurdles over the next 20 years. The reliance by local economies on workers from outside territorial borders means much of the income earned in the North is redistributed to other parts of the country. If this were not the case, our outlook would be significantly more favourable.